April 7, 1997
American Express Bank International
0000 Xxxxxxxx Xxx. #000
Xxxxx, XX 00000
Ladies and Gentlemen:
This is to confirm our agreement that, effective April 30, 1997, the attached
Schedule A will replace the current Schedule A dated May 2, 1995, to the Selling
Agent Agreement date June 1, 1990, between American Express Financial Advisors
Inc. and American Express Bank International and as subsequently supplemented or
amended, in accordance with Section I(1) of said Selling Agent Agreement. Please
note that this is the third amendment to the Selling Agent Agreement or a
schedule thereto.
Very truly yours,
AMERICAN EXPRESS FINANCIAL ADVISORS INC.
By: /s/ Xxxxxx X. Xxxxxxxx
Xxxxxx X. Xxxxxxxx
Vice President-Assured Assets
Accepted and agreed to by
AMERICAN EXPRESS BANK INTERNATIONAL
By: /s/ Xxxxxx X. Xxxxxxxx
Xxxxxx X. Xxxxxxxx
President
SCHEDULE A
EFFECTIVE AS OF APRIL 30, 1997
1. Pursuant to Section I(1) of the Marketing Agreement dated as of June 1,
1990, as subsequently amended, AEBI may offer the American Express
Investors Certificate (formerly the IDS Investors Certificate)
("Certificate"), which Certificate guarantees interest in advance for a
term of 1,2,3,6,12,24 or 36 months, at the client's option, bearing
Libor-based interest rates.
2. AEBI shall be compensated sales of the Certificate as follows:
(i) For Certificates sold on or after June 1, 1990:
(a) For Certificates sold in an amount equal to $1 million or
more, a fee equal to .50% per annum of the amount
outstanding for each Certificate; provided, however, that
for each certificate with an amount outstanding of $1
million or more, when the aggregate reserve balance for
that Certificate, and any other Certificate with
identical registered ownership and an amount outstanding
of $1 million or more, is at least $20 million, and the
aggregate reserve balance is invested for terms that
average at least six months, of which at least $5 million
is invested for a term of 12 months or longer, the fee
shall be equal to .30% per annum of the amount
outstanding;
(b) For Certificates sold in an amount from $500,000 to $999,999, a
fee equal to .65% per annum of the amount outstanding for each
Certificate;
(c) For Certificates sold in an amount from $250,000 to $499,999, a
fee equal to .80% per annum of the amount outstanding for each
Certificate; and
(d) For Certificates sold in an amount from $100,000 to $249,999, a
fee equal to 1.25% per annum of the amount outstanding for each
Certificate.
(ii) For Certificates sold prior to June 1, 1990, AEBI shall
be paid a fee of .50% per annum of the amount outstanding
for each such Certificate sold. The fee of .50% per
annum shall continue to apply to such Certificates
through January 31, 1991. From and after February 1,
1991, AEBI shall be paid compensation in accordance with
(i) above for all Certificates, regardless when such
Certificates were sold.
3. The amount outstanding shall be calculated as of the end of
each term or Certificate quarter, as the case may be. The
calculations shall take into account any additions to or
withdrawals from a Certificate. Compensation shall be
calculated on a 360-day year (30 day month) basis. AEBI shall
be paid after the end of each term for the 1,2, and 3 month term
Certificates and after the end of each Certificate quarter for the 6,
12, 24 and 36 month term Certificates. The compensation payable to AEBI
for certificate terms and quarters ending during any given calendar
month shall be aggregated and paid to AEBI in a lump sum promptly after
each calendar month end.
